NEW DELHI: Indian manufacturers should not just try to address domestic demand for zero-emission vehicles, but tap also into global markets to build scale and bring down cost, NITI Aayog CEO Amitabh Kant said.

With the growing clamour over environment, green mobility is the need of the hour globally, Kant said at the Ford City of Tomorrow symposium here on Wednesday.

“It cannot be business as usual because vehicle makers in India will be impacted by what is happening globally. They have to think of addressing domestic demand and also think of scaling up in global markets, which will help in bringing down cost of electric vehicles,” Kant explained.

Kant said by 2025-26, the cost of owning an electric vehicle will be at par with one running on conventional fuel. Globally, electric vehicles are expected to account for 40% of new vehicle sales by 2040.

With battery cost declining, Kant estimates 2030 will be the tipping point for electric vehicles in the automotive industry. Battery costs are estimated to come down to $73 per kWh by then from $273 now. As far as India is concerned, Kant said, the country should adopt a technology-agnostic approach as the last word on zero-emission vehicles — be it electric, hydrogen fuel or some alternate technology — has not been said.